Business bankruptcies, entrepreneurial failures, unemployment, and salary reductions have been ongoing topics in recent years. Many former business owners have accumulated debts and been forced into becoming “debt defaulters”, while numerous individuals have been blacklisted for credit breaches due to job losses and interrupted mortgage payments. Data shows that in the past five years, China’s personal debt has surged by 50%. Those branded as debt defaulters now number over 8.5 million, a near 50% increase from 5.7 million at the beginning of 2020. These debtors, who have failed to meet their repayment schedules for home or business loans, mostly range in age from 18 to 59 and constitute 1% of China’s workforce.
#chinaobserver
All rights reserved.